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MRAA supports expansion of SBA floor plan finance program

Published online: Jul 15, 2010Newswww.boating-industry.com

In a recent letter to Sen. Mary Landrieu (D-La.), Chair of the Senate Committee on Small Business and Entrepreneurship, the Marine Retailers Association of America said it strongly supports and asks for prompt consideration of a floor amendment to the Small Business Lending Fund Act.

"The amendment, identified as (Senate Substitute Amendment 4407), will go a long way in restoring credit to our members, which in a large degree has been greatly reduced, if not eliminated, during the industry downturn of the last two years," Ed Lofgren, chairman of MRAA, said in a release.

According to the group, Senate leadership is considering allowing the bill to come to the Senate floor as soon as next week. MRAA supports raising the loan cap from $2 million to $5 million, extending the program to 2013 and a 100 percent advance-rate for boat dealers. "The lack of funding from traditional sources for floor plan financing has been one of our greatest challenges for our members to operate," Phil Keeter, MRAA president, said in the release. The National Marine Manufacturers Association sent an earlier letter in support of the legislation on June 30, noting that the amendment would "restore much-needed credit to small business owners, addressing the primary reason for the extent of the depression in the boating industry."

Lake Cumberland is known as the "Houseboating Capital of the World," and it sees millions of houseboaters each year. In honor of this, Kentucky governor Matt Bevin recently dedicated a bridge on Lake Cumberland in Monticello to houseboating.